Is Labor 'running dead' in Canning to protect Tony Abbott?

Mark Kenny, Lisa Cox

Labor has fuelled speculation it is more concerned with ensuring Tony Abbott remains Liberal leader than winning the Canning byelection, mounting what has been reported to federal cabinet as a low profile campaign in the West Australian seat.

Cabinet ministers discussed the byelection when they met on Tuesday, with deputy Liberal leader Julie Bishop telling her colleagues the local campaign being run by Labor was less intense than expected.

Opposition Leader Bill Shorten pictured with the ALP's candidate for Canning Matt Keogh during a visit to the electorate last month. Photo: Philip Gostelow

It has raised questions on whether the ALP would rather see Mr Abbott remain leader than win Canning in an upset. The byelection was called for September 19 after the death of Liberal MP, Don Randall. Liberals acknowledge losing the seat could end Mr Abbott's leadership.

Labor strategists concede the government's unpopularity, and that of the Prime Minister in particular, provide the opposition's best hopes for victory in 2016. Thus, they fear a shock byelection loss for the government would shatter the party room resolve and could see Mr Abbott replaced by the more centrist and popular Malcolm Turnbull.

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Mr Hastie himself intervened when Mr Abbott was asked again about leadership speculation.

Answering the question on Mr Abbott's behalf, Mr Hastie said: "I don't have time to take counsel from the east coast Twitterati."

"There's a significant disconnect between what people are saying over in the east and what is happening here in Canning," he said.

But Mr Abbott rejected suggestions Labor was "running dead" in Canning, predicting a fierce campaign from the opposition during the final two weeks before the byelection.

"Our absolute expectation is that there will be a Labor blitz in the last few weeks of this campaign because Labor want this seat," Mr Abbott said.

"It was once a very, very marginal seat."

It comes as cabinet assesses progress of the campaign to hold the seat retained by the Liberals by almost 12 per cent in the 2013 election.

Ms Bishop briefed cabinet on Tuesday about the campaign in which she is playing the key leadership role in close concert with Mr Hastie, a 32-year-old former SAS captain.

It is reported she said Labor was pouring fewer resources into the effort than expected of a party trying to win it, and that Labor's candidate, Matt Keogh, had tended to concentrated his efforts in the northern part of the seat in an area set to become part of the new federal division of Burt.

An electoral redistribution will take effect at the general election creating an extra WA seat, the demographic make-up of which should see it categorised as a Labor seat.

Opposition Leader Bill Shorten said on Wednesday it was a "priority" for Labor to do well in Canning.

"It's a priority to do well because I believe Australia needs a new direction," he said.

Mr Keogh rejected suggestions Labor was not campaigning seriously, declaring they could win the seat and was trying to do so.

"We're not running dead at all in Canning," he told the ABC's Radio National on Wednesday.

"We're not the Liberal Party, we don't have the cash resources for wraparound ads in every newspaper.

"But that doesn't matter because what we're doing is going out and talking to the voters on the ground

"That's exactly how our late former member Don Randall campaigned and what he did while he was a local member."

Mr Keogh said it would be a "tight race" despite the government's margin of almost 12 per cent.

"We definitely have a chance to win this seat. The vibe out on the street definitely makes that clear," he said.

That view was endorsed by the government too, with Assistant Treasurer Josh Frydenberg, telling Sky's Kieran GIlbert that the claim Labor was running dead was illusory.

"Absolutely not," he said. "Make no mistake, Labor wants to win the seat of Canning and will throw everything possible that they can at the byelection."

He said he was "sure" Labor wanted to win, but the government was doing everything necessary to retain it, which is why Mr Abbott has made a second lightning appearance in the electorate.